Recently, a few weeks after Tesla cut prices, Ford also announced that the price of its electric Mustang Mach-E was reduced by an average of $4,500. After the U.S. stock open, Ford shares fell nearly 2%.
At the same time, the new energy vehicle sector in the United States fell across the board, with Lucid Group down nearly 7%, Li Auto and Xpeng Motors down about 6%, NIO down more than 4%, and Tesla down more than 2%.
Ford said it hopes to offset further deterioration in margins by raising production by 67 percent this year. The lowest-priced Mach-E now starts at $45,995, down $900, while the biggest drop is the GT Extended Edition, which starts at $63,995 and is down $5,900.
Marin Gjaja, chief customer officer for Ford's electric vehicle business, said Mach-E production this year will increase to 130,000 units from 78,000 units last year. The Mach-E plant in Cuautitlan, Mexico, is currently idle and will reopen in February after restructuring and expanding production capacity.
Last year, Mach-E made Ford the second-highest selling electric car manufacturer in the United States, but still far behind Tesla. Ford sold more than 65,000 electric vehicles in the U.S. last year, while Tesla sold more than 522,000 electric vehicles in the U.S. in 2022.
In addition to the adjusted price, orders for Mach-E between Jan. 30 and April 3 will qualify for credit concessions offered by Ford, with a minimum interest rate of 5.34 percent, the company added.